1. What is RPI Rent Increase?

The Retail Price Index (RPI) is a measure of inflation used in the UK that can be applied to calculate rent increases. Many UK leases allow for annual rent increases based on the RPI percentage change.

2. How Does the Calculator Work?

The calculator uses the RPI rent increase formula:

Where:

• Old Rent — Current rent amount in GBP
• RPI — Retail Price Index percentage increase

Explanation: The formula applies the percentage increase to the original rent amount to calculate the new rent.

3. Importance of RPI Calculation

Details: Calculating rent increases accurately is crucial for both landlords and tenants to understand their financial obligations and rights under UK rental agreements.

4. Using the Calculator

Tips: Enter the current rent amount in GBP and the RPI percentage increase. Both values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What is the current RPI rate in the UK?
A: The RPI rate changes monthly. Check the latest figures from the UK Office for National Statistics (ONS).

Q2: Is RPI the same as CPI?
A: No, RPI (Retail Price Index) and CPI (Consumer Price Index) are different measures of inflation. RPI typically produces higher values than CPI.

Q3: Are all rent increases based on RPI?
A: No, rent increases can be based on various factors. Check your lease agreement for specific terms.

Q4: Is there a cap on rent increases using RPI?
A: Some leases may cap the maximum increase regardless of RPI. Always consult your specific rental agreement.

Q5: How often can rent be increased using RPI?
A: Typically annually, but this depends on the terms of your lease agreement.